Webio founder pleads guilty in Ponzi scheme

Subject:

Comments:
: January 28, 2010 : BY NATASHA KORECKI Federal Courts Reporter : : The man who plundered the Webio sports venture he started up with sports personality Mike North pleaded guilty in federal court this afternoon, admitting he swindled dozens of investors out of more than $6 million. : David Hernandez, 49, of Downers Grove, who last year went on the lam and attempted suicide after the feds were on his tail, admitted he ran a Ponzi scheme through his Chicago-based Next Step Financial Services, duping dozens of people through phony investments. The charges did not make allegations involving the Mike North venture. : Hernandez has been living in his Downers Grove home under house arrest since September. : Hernandez could face up to 14 years in prison, by the government's calculation. Hernandez’s lawyer, John A. Meyer, will argue for less time. : Under Hernandez’s plea deal, he’s required to make restitution to victims. : Last summer, just after Hernandez and North launched ChicagoSportsWebio.com, the FBI delivered a letter to Hernandez’s home, notifying him he was under investigation, according to court records. : Hernandez went on the lam, checking in and out of hotels in central Illinois. : He was eventually caught in a hotel in Downstate Normal. He was immediately hospitalized because he had attempted to take his own life.

Optional Link URL:
Link Title:
Optional Image URL:

Enter verification code: